Abu Dhabi's Financial Institutions to Initiate New Stablecoin Usings UAE Dirhams as Base Currency
A trio of powerhouses from Abu Dhabi have joined forces to launch a fresh stablecoin, aiming to propel the UAE into the global blockchain limelight. The collaboration involves Abu Dhabi's sovereign wealth fund ADQ, First Abu Dhabi Bank (FAB), and International Holding Company (IHC).
Did you know?- ADQ, FAB, and IHC are the driving forces behind this new stablecoin initiative.- The stablecoin's value will be pegged to the UAE dirham and under the watchful eye of the central bank.- It will run on the ADI blockchain, supporting machine-to-machine payments and AI applications.
The anouncement, unveiled on April 28, reveals that the stablecoin will be fully backed by the UAE dirham and will fall under the supervision of the country's central bank, subject to regulatory approval.
The stablecoin will be powered by the ADI blockchain, which was created by the ADI Foundation, a nonprofit dedicated to helping financial systems and governments adopt blockchain solutions.
ADQ explains that the stablecoin project is part of a broader mission to bolster the UAE's digital infrastructure, positioning the country at the "vanguard" of global blockchain innovation. The stablecoin will also be crafted to cater to advanced use cases such as machine-to-machine payments and AI-powered transactions.
Find the right bet with BetUSGet 125% / $2,500 on your first deposit!** Visit SiteEstablished in 2018, ADQ plays a pivotal role in the UAE's investment plan, focusing on critical infrastructure and global supply chains. IHC, boasting a market value of over $243 billion, is one of the country's largest investment firms and maintains close ties to Abu Dhabi's ruling family.
FAB, the UAE's primary bank, was created in 2017 through the merger of First Gulf Bank and National Bank of Abu Dhabi. Its presence brings a significant banking foundation to the stablecoin project.
If approved, the new stablecoin could bring a new level of trust and speed to transactions across various UAE industries, while blending traditional banking might with blockchain innovation.
Enrichment Insights:- The new stablecoin is a collaboration between ADQ, FAB, and IHC.- The stablecoin will be pegged 1:1 to the UAE Dirham, regulated by the CBUAE and issued through the ADI blockchain.- It is designed to support emerging technologies like machine-to-machine transactions and AI-driven financial apps.- This initiative aims to elevate the UAE's position in the global blockchain scene, complementing prior initiatives like AE Coin and Tether's AED₮.- The UAE's ambition to merge traditional finance with blockchain could lead to increased interoperability in emerging markets.
- The trio of Abu Dhabi's powerhouses, ADQ, First Abu Dhabi Bank (FAB), and International Holding Company (IHC), have joined forces to launch a new stablecoin aimed at bolstering the UAE's digital infrastructure and propelling the country into the global blockchain limelight.
- The stablecoin, pegged 1:1 to the UAE Dirham and subject to regulatory approval, will fall under the supervision of the country's central bank and run on the ADI blockchain, a technology designed to support machine-to-machine payments and AI-powered transactions.
- Established in 2018, ADQ plays a critical role in the UAE's investment plan, focusing on critical infrastructure and global supply chains, while IHC, with a market value of over $243 billion, is one of the country's largest investment firms with close ties to Abu Dhabi's ruling family.
- FAB, created in 2017 through the merger of First Gulf Bank and National Bank of Abu Dhabi, brings a significant banking foundation to the stablecoin project, potentially bringing a new level of trust and speed to transactions across various UAE industries, while blending traditional banking practices with blockchain innovation.
